Litecoin can be mined at a much rapid pace and offers a faster transaction speed. These advantages play a great role in terms of investing, although they don’t impact the usability of the currency. The bitcoin network can produce up to a maximum of 21 million coins while Litecoin will max out at 84 million. Litecoin is almost 4 times faster than bitcoin in terms of processing time.
Both cryptocurrencies are based on different crypto algorithms which allows Litecoin to have the speed benefit.
What Problem is Litecoin Solving?
As discussed earlier, Litecoin is simply a ‘light Bitcoin’. It doesn’t have the baggage and obsolescence of Bitcoin blockchain and hence it can be mined quickly and brings investors and crypto enthusiasts quick transaction times which can be vital for investment purposes.
Step 1 – Choose Your Litecoin Exchange
A cryptocurrency exchange is fundamentally a marketplace just like Amazon or eBay. The only difference is, here you buy and sell cryptocurrencies instead of physical products. You can purchase cryptocurrencies using your fiat currency or other coins. Among the leading crypto exchanges, we have Coinbase, Binance, Bittrex, Kraken and a few more. To pick the right exchange for yourself, take a look at the features each exchange offers, especially processing time, processing fee, withdrawal charges, online reputation, and customer service. This way you will be able to make the right decision.
Step 2 – Choose Your Litecoin Wallet
A cryptocurrency wallet is a software or a physical device (like a flash drive) which can be used to securely store your digital currency. Your exchange does provide you with a built-in wallet that’s linked to your account, however, it’s always a good idea to move your coins to your own digital or hardware wallet. It helps you keep your accessible and safe. Crypto exchanges can go down, become a victim of a cyber-attack and other unforeseen circumstances.
• Ledger Nano S – It’s a cold or hardware wallet that can store your cryptocurrencies safe including Bitcoin, Litecoin and Ethereum.
• Atomic Wallet – If you want a digital mobile wallet, Atomic wallet is a great option. It’s available both on Android and iOS.
• Exodus – If you want a desktop PC wallet to store Litecoin, then Exodus is the most reliable option with great security and features.
Step 3 – Take Precautionary Measures
Try to use a unique email address to make your account on a crypto exchange and secure it with a strong password. Run antiviruses and if necessary, install a firewall to ensure there are no compromising files or vulnerabilities on your devices. Only use secured devices for trading cryptocurrencies. When registering on an exchange, always use a strong and distinct password and don’t forget to activate two-factor authentication.
Step 4 – Choose the Payment Method
Now you are ready to buy Litecoin. You have to find the most affordable and convenient payment option. It’s recommended that at the time of choosing your crypto exchange, make sure you pick the one that doesn’t charge too much fee. This way you will have more control over how you buy Litecoin and other cryptocurrencies.
Step 5 – Make the Purchase and Store Litecoin in Your Wallet
After you’ve figured out everything, you can make the purchase by going to the marketplace. Choose the amount of coin you want to buy and the exchange will do the rest for you picking the best price available. Once you have the coins in your account, move them to your digital or hardware wallet to ensure safe and secure storage.